PUBLIC LAW 94-455—OCT. 4, 1976
90 STAT. 1859
(A), as the case may be, of paragraph (1) shall not apply with respect to the same portion of such interest. " (5) D U E DATE.—The additional tax imposed by this subsection shall become due and payable on the d a y which is 6 months after the date of the disposition or cessation referred to in paragraph (1). " (6) LIABILITY FOR TAX.—The qualified heir shall be personally liable for the additional tax imposed by this subsection with respect to his interest. " (7) CESSATION OF QUALIFIED U S E. — For purposes of paragraph
(1)(B), real property shall cease to be used for the qualified use if— " (A) such property ceases to be used for the qualified use set forth in subparagraph (A) or (B) of subsection (b)(2) under which the property qualified under subsection (b), or " (B) during any period of 8 years ending after the date of the decedent's death and before the date of the death of the qualified heir, there had been periods aggregating 3 years or more during which— " (i) in the case of periods during which the property was held by the decedent, there was no material participation by the decedent or any member of his family in the operation of the farm o r other business, and " (ii) in the case of periods during which the property was held by any qualified heir, there was no material participation by such qualified heir or any member of his family in the operation of the farm or other business. "(d)
ELECTION; AGREEMENT.—
" (1) ELECTION.—The election under this section shall be made not later than the time prescribed by section 6075(a) for filing 26 USC 6075. the return of tax imposed by section 2001 (including extensions Ante, p. 1846. thereof), and shall be made in such manner as the Secretary shall by regulations prescribe. " (2) AGREEMENT-—The agreement referred to in this paragraph is a written agreement signed by each person in being who has an interest (whether or not in possession) in any property designated in such agreement consenting to the application of subsection (c) with respect to such property. " (e) DEFINITIONS; SPECIAL RULES. — For purposes of this section—
" (1) QUALIFIED HEIR.—The term 'qualified heir' means, with ^ respect to any property, a member of the decedent's family who acquired such property (or to whom such property passed) from the decedent. I f a qualified heir disposes of any interest in qualified real property to any member of his family, such member shall thereafter be treated as the qualified heir with respect to such interest. "(2)
M E M B E R OF F A M I L Y. — The term 'member of the
family'
means, with respect to any individual, only such individual's ancestor o r lineal descendant, a lineal descendant of a grandparent of such individual, the spouse of such individual, or the spouse of any such descendant. For purposes of the preceding sentence, a legally adopted child of an individual shall be treated as a child of such individual by blood. "(3)
CERTAIN REAL PROPERTY INCLUDED.—In the case of
real
property which meets the requirements of subparagraph (C) of subsection (b)(1), residential buildings and related improvements on such real property occupied on a regular basis by the
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